CriSidEx: The MSE sentiment index

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Why India needs an MSE sentiment index

Effective policy making is a function of the quality of information at hand.

Because data on micro and small enterprises (MSEs) comes with a significant lag, a comprehensive and concise lead + lag indicator ofground-level sentiment becomes a crucial tool for policy makers, lenders, trade bodies, economists, rating agencies and the MSEs themselves.

Till now, there was no such barometer available in India, though indices and sentiment surveys to track large and mid-sized corporates area plenty and have been in existence for decades.

While there have been ad hoc surveys by chambers of business and specific agencies as one-time efforts, a continuous survey leading toan index is a first.